LEICESTERSHIRE businesses benefit from £148m of council spending per year, according to a new report.

The news comes from the council’s new commissioning and procurement strategy, which outlines how the authority will purchase goods and services in the most cost-effective way.

Around 64 per cent of the council’s budget (£354m out of £550m) is spent on buying goods and services. Of this, 42 per cent (£148m) is spent with Leicestershire suppliers and 52 per cent is spent with small and medium-sized firms.

Byron Rhodes, cabinet member for resources, said: “The council knows it has to make every pound it spends count. That’s why we need to ensure we’re getting the best price and the best outcome for our investment and if we can help Leicestershire businesses by doing this, that’s a bonus.”

The council is setting up a commissioning support team and also adopting a shared approach to commissioning and procurement, with partners such as the NHS.